Brooks Company's current information is shown in the following table. Management believes a $1 increase...
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Brooks Company's current information is shown in the following table. Management believes a $1 increase in sales price will only decrease sales by 3% (to 11,640 units). In addition, the elimination of some redundant activities will save $15,000 in fixed costs. Expected profit after these changes is: Current Sales volume 12,000 units Selling price $20 Variable cost per unit $12.50 Fixed costs $110,000 Multiple choice question. ($11,060) $7,000 ($5,000) $3,940
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